Sat. Oct 5th, 2024

Big tech layoffs reflect talent shortages, another concern.

By knl9j Jul2,2024
News

The fact that Google has decided to downsize its workforce by 12,000 employees is another evidence that the technology sector is not experiencing its most prosperous period. Thus, the Alphabet subsidiary joins two other significant companies in the industry that have also announced large-scale staff cuts this January: on the 5th, Amazon announced the firing of 18,000 workers, and on the 18th, Microsoft revealed a staff reduction of 10,000 people. Both of these announcements were made in January.

At this point, one of the concerns that has to be answered is where all of these highly qualified staff members will ultimately wind up. Several months ago, a number of businesses made public statements indicating that they were interested in recruiting the people who had been terminated from their positions at Twitter. On the other hand, Carmine Di Sibio, the Chief Executive Officer of EY, is of the opinion that there is currently nothing comparable to a significant job pool that is comprised of people who have been laid off from the IT sector.

Unfortunately, there is no longer any qualified staff available. “We don’t have any difficulty finding talent, but we are not seeing an emergence of talent that suddenly becomes available,” said the CEO of EY, who was present at the Davos Forum at the time. Di Sibio made these statements in an interview that he gave to Bloomberg last week. He stated that the labor market remained tight despite the layoffs that were occurring at the major technology companies.Once more, excessive hiring. In addition, Di Sibio said that the large job layoffs in the technology sector occurred after the industry had gone through a period of “intense hiring.” The leaders of Meta and Amazon are of the same opinion regarding this matter.

He made it very plain, however, that EY had not identified an increase in the quantity of skilled workers that was available in the labor market as a consequence of the widespread layoffs that were carried out by Big Tech: “You might think that there are a lot of people out there who know about technology,” Di Sibio conceded in the interview with Bloomberg. “If you read the headlines about what is happening, you might think that many people are knowledgeable about technology.”

Technology companies are undergoing widespread layoffs. Consequently, the question that needs to be answered at this moment is what will happen to the employees in the technology sector who have been affected by the widespread layoffs. It has been reported by the Laysoff.fyi portal that within the technology industry, 214,921 personnel have been terminated between the years 2022 and the present day in the year 2023. With a statistic like that, one would anticipate exactly what Di Sibio does not find: a vast job pool consisting of highly qualified labor that is accessible for hire by whoever is interested in doing so.

They are able to easily locate a new employment. The reason, on the other hand, can be found in the rapidity with which workers in the technology industry locate new employment opportunities. Seventy-nine percent of these types of laid-off individuals find a job within three months or fewer of their first job search, according to a survey that was conducted by ZipRecruiter and released on November 30, 2022. In point of fact, 37 percent of them are able to secure employment in a period of less than one month, while only five percent are able to do so throughout a period of six to twelve months.

Many different industries. Furthermore, according to the text written by Julia Pollak, chief economist at ZipRecruiter, 74% of these professionals find work in the technology sector itself. However, 6% of them find work in retail, 5% in the financial services sector, 2% in the health sector, and the remaining 6% find work in “a variety of different industries.”

The workers who have been laid off are getting organized. On the other hand, businesses that are devoted to recruiting services, such as CoderPad, or to the development of CRM software (which stands for customer relationship management in Spanish), have issued public statements that criticize the manner in which Elon Musk was managing Twitter. These statements express disapproval of Musk’s decisions to reduce the number of employees and to eliminate teleworking. Additionally, these businesses sent a message to the employees who had been laid off, urging them to get in touch with them so that they may become a part of their workforce.

A great deal of choices. It does not appear that those who work in the IT industry will have to wait very long to find a new career. In point of fact, a few of them have made a public Excel document in which they list their name, position, the link to their LinkedIn page, and their location. Additionally, there are currently over a thousand employees who have registered on it.

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